Today, 11/15/2012, Freddie Mac reported that the average mortgage interest rate for 30 year fixed-rate mortgages was 3.34% down from 3.40% last week. The average interest rate for 15 year fixed-rate mortgages was 2.65%, down from 2.69% last week. A year ago the 30 year rate was 4.00%.
This week one of my buyers informed me that he was offered a 3.25% rate from Wells Fargo. Of course he has excellent credit. The rates above are AVERAGE rates and yours could be higher or lower depending on your credit scores. But the fact that overall the rates are down to historically low levels is good news for home buyers since they can pay less each month and qualify for bigger loans. And it is also good for sellers since it increases the pool of potential buyers for their homes. As long as they are priced correctly. Keep in mind that the appraisers are still an issue and the apppraisals often come in lower than we would like. We have little control over that.
Freddie Mac's spokesperson said that higher consumer confidence ratings helped to push down average mortgage rates this past week. Lower consumer prices also helped. Here in Zephyrhills, Florida we have seen a significant drop in gasoline prices at least. The spokesperson reported that consumer sentiment "rose in November to the highest reading since July 2007! And the core producer price index fell 0.2% in October."
Do keep in mind that we are a very large country, So figures that come out for the entire nation, may have little or no relevance for your particular area. In the end, it is best if you speak with a local REALTOR or financing expert to see what the situation is for your part of the United States. Florida is not Michigan, nor is Maine the same as California. Market conditions can be very different from place-to-place. Also, your own credit history, the property you want to buy, etc. will effect your specific loan options and interest rates. Your mortgage broker or bank loan officer can give you more specific information.
If you want to learn more about Freddie Mac or see the details of their survey, go to: www.freddiemac.com and click on the link for "Current Weekly Survey". They break down the survey by specific regions in the United States so you can see how your state compares to other parts of the country. They also explain the mission of Freddie Mac and offer a lot of useful information for consumers.
If you would like to speak with a lender you can find some at my website: www.jelwell.century21bnr.com . You can also speak with your own bank, credit union, or mortgage broker to see what your particular interest rate would be, should you decide to finance a home purchase.
I would also be happy to assist you in any way that I can. Just call JOHN ELWELL - REALTOR at CENTURY 21 Bill Nye Realty, Inc. : 813-783-4444 or e-mail me at: firstname.lastname@example.org You are also welcome at my webpage: www.jelwell.century21bnr.com Licensed in Florida.